Closing Bell: Nifty tops 22,200 for the first time, Sensex up 349; realty, banks outshine

Indian benchmark indices extended the gains on the sixth consecutive session on February 20 with Nifty surpassing 22,200 for the first time. At close, the Sensex was up 349.24 points or 0.48 percent at 73,057.40, and the Nifty was up 74.70 points or 0.34 percent at 22,197.

We wrap up today's edition of the Moneycontrol live market blog, and will be back tomorrow morning with all the latest updates and alerts. Please visit https://www.moneycontrol.com/markets/global-indices/ for all the global market action.

Prashanth Tapse, Senior VP (Research), Mehta Equities

Impressive buying in banking stocks propelled benchmark Nifty to touch a new high and close above the 22k mark, as the recent sell-off in the financial space had made several banking counters attractive for investors to take renewed exposure. Despite the ongoing conflict in the Red Sea and the Middle-East, stable oil prices have helped improve market sentiment. However, the focus will be on Wednesday's minutes of the US Fed's last meeting on policy rates, which will provide more clarity on interest rate direction in the near term.

Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas

The Nifty opened on a weak note however as the day progressed the Nifty witnessed sustained buying interest which helped it to close at a New All time high of 22196.95 up ~75 points.

On the daily charts we can observe that the Nifty has decisively closed above the previous resistance zone of 22100 – 22150 which indicates that the next leg of upmove has resumed. On the upside we expect Nifty to target levels of 22500, which is the upper end of the rising channel. Bollinger bands have begun to expand, and prices are trading along the upper band indicating that the positive price action is likely to continue.

The hourly momentum indicator still has a negative crossover, which is a point of worry, however we shall assign more weightage to the price action and continue to ride the upmove. In terms of levels, 22460 – 22500 is the immediate hurdle zone while 22000 – 21950 shall act as a crucial support zone.

Bank Nifty was clearly the leader today with major contributions coming in from the heavyweight HDFC Bank. We expect the bank Nifty to continue with the momentum and target levels of 48600.

Vinod Nair, Head of Research, Geojit Financial Services

Amidst market volatility, the domestic market is once again poised to approach record highs. The latest upward trajectory is bolstered by gains in the banking sector, with private banks witnessing a rebound from a recent sharp correction. However, the decline in mid & small caps suggests that investors are continuing to exercise caution due to higher valuations.

The forthcoming release of the US Fed minutes this week holds significance, particularly in light of recent sticky inflation data, which raises uncertainty regarding the timing of the Federal Reserve's initiation of its easing cycle.

Aditya Gaggar Director of Progressive Shares:

After spending most of the time in a range, a late surge in the heavyweights pushed the Index higher to end the session at yet another record level of 22,196.95 with gains of 74.70 points. Among the sectors, Media was the best performer while a round of correction was observed in the IT and Auto segments. The index rally was mainly driven by the heavyweight private banks, especially HDFC and Axis Bank. With a bullish candle, the Index has given a breakout from an Ascending Triangle formation, and as per the pattern, the target is 23,120.

In today's trade, BankNifty has not only breached its 50DMA hurdle but also convincingly cleared the resistance of 46,580, and now, the next resistance is placed at 47,730 while the downside is protected at 46,340.

Jateen Trivedi, VP Research Analyst, LKP Securities

The rupee strengthened by 0.06rs, reaching 82.95, as the dollar index weakened from 104.25$ to 104.06$, pushing the rupee above 83.00. Additionally, a minor correction in crude prices after a strong rally provided support to the rupee.

The financial sector's uptrend, evidenced by a 1.25% gain in the Bank Nifty index, attracted fund inflows, further bolstering the rupee. Rupee's long consolidation persists within the range of 82.80-83.15.

Rupak De, Senior Technical Analyst, LKP Securities

The Nifty continues its upward momentum following a consolidation breakout on the daily chart. The trend remains robust as it has sustained itself both above the psychological level of 22000 and the 21EMA on the daily timeframe. On the higher end, it may move towards 22400/22600 once the index decisively surpasses the 22200 mark. Support on the lower end is identified at 22000.

Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities

The BankNifty bulls maintained their dominance, closing above the 47000 level, signaling a strong buy mode. Immediate support is now established at 46700, marked by fresh put writing. The index is anticipated to reach the short-term target of 48000, with any dip viewed as a buying opportunity.

Rupee Close:

Indian rupee ended marginally higher at 82.97 per dollar on Tuesday versus Friday's close of 83.01.

Market Close: Indian benchmark indices extended the gains on the sixth consecutive session on February 20 with Nifty surpassing 22,200 for the first time.

At close, the Sensex was up 349.24 points or 0.48 percent at 73,057.40, and the Nifty was up 74.70 points or 0.34 percent at 22,197.00. About 1661 shares advanced, 1667 shares declined, and 65 shares unchanged.

Biggest gainers included Power Grid Corporation, HDFC Bank, Axis Bank, NTPC and Kotak Mahindra Bank, while losers were Hero MotoCorp, Coal India, Bajaj Auto, Eicher Motors and TCS.

On the sectoral front, Bank, media, power and realty up 0.8-2 percent each, while auto, IT, metal down nearly a percent each.

BSE Midcap and Smallcap indices ended with marginal losses.

Mahindra World City Developers Limited, a subsidiary of the Company, is undertaking launch of a project, ‘Green Estates by Mahindra’, Chennai (Mahindra World City, Chennai). The said Project is registered with Tamil Nadu Real Estate Regulatory Authority.

Swan Energy to raise Rs 4000 crore via QIP, sources says to Economic Times.

Stock Market LIVE Updates | CLSA View On Coal India

-Outperform call, target raised to Rs 480 per share
-Drop in e-auction premium in Q4, could be partly offset by higher volumes
-Company revised down volume guidance for FY24 by 1 percent
-FY25 guidance is for 9 percent YoY growth
-Import substitution could keep domestic coal balance intact
-At 5x CL26 EV/EBITDA (below historical average), see valuations as fair
-Company’s dividend yield remains elevated at 6-7 percent

Stock Market LIVE Updates | Trident appoints Samir Joshipura as CEO

The Board of Directors of Trident appointed Mr. Samir Joshipura as the Chief Executive Officer & Key Managerial Personnel (CEO & KMP) of the Company, pursuant to Section 203 of the Companies Act, 2013, effective February 20, 2024.

Stock Market LIVE Updates | Jefferies View On Reliance Industries

-Buy call, target Rs 3,140 per share
-5-year low diesel inventories & red sea disturbances have firmed up diesel spreads by 40 percent since December
-Raised company’s FY24/25E EBITDA +2 percent/1 percent on near-term O2C strength
-Peak capex in Jio and Retail are behind

Sensex Today | Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas

Indian Rupee appreciated by 0.07% on Tuesday on positive domestic markets and Dollar inflows. However, a positive tone in the US Dollar and rising crude oil prices capped sharp gains. US Dollar rose on rising odds of a no-rate cut by the US Federal Reserve in the March and May 2024 FOMC meeting. Strong PPI data on Friday further bolstered the no rate-cut notion.

We expect the Rupee to trade with a slight negative bias on strong US dollars and risk aversion in global markets. Rising crude oil prices amid renewed geopolitical tension in the Middle East and the Red Sea. However, foreign inflows and positive domestic markets may support the Rupee at lower levels. Investors may watch out for FOMC minutes to be released on Wednesday. USDINR spot price is expected to trade in a range of Rs 82.75 to Rs 83.20.

Stock Market LIVE Updates | Raymond launches its first project outside Thane

Raymond Realty, the real estate arm of Raymond Group today announced the launch of its first project outside Thane ‘The Address by GS, Bandra’. This strategic move followed the company’s plan for expansion beyond Thane through joint development agreements (JDAs) in MMR region.

Stock Market LIVE Updates | TVS Supply Chain Solutions extends contract with Rolls-Royce for 5 years

TVS Supply Chain Solutions today announced that their contract with Rolls-Royce has been extended for five years until 2029. The partnership extension is for the state-of-the-art Parts Distribution Centre (PDC) in Singapore serving the Asia Pacific markets for Rolls-Royce’s Power Systems business unit.

SpiceJet-Credit Suisse Case: Supreme Court asks SpiceJet to clear outstanding dues of USD 1.25 million by March 15.

Stock Market LIVE Updates | Sun Pharma to acquire 16.33% stake in Surgimatix for USD 3.05 million

Sun Pharmaceutical Industries has entered into an agreement with Surgimatix, Inc., pursuant to which Sun Pharma has agreed to acquire 16.33 % shares of Surgimatix, Inc.

Stock Market LIVE Updates | Jefferies View On Biocon

-Downgrade to underperform from neutral, target Rs 250 per share
-We are at 17-19 percent below consensus for FY25-26
-Earnings downgrades will continue due to lack of new launches in Biosimilars segment
-Weak FY25 outlook for Syngene due to lack of major manufacturing contract wins
-Weak FCF generation, high leverage will hurt company unless it looks at fund raise options
-Company can look at fund raise options like stake sale in Biosimilars and Syngene

Stock Market LIVE Updates | Federal Bank drops 6% as Kotak Bank retains candidate sought for top position

Federal Bank's stock rose around 10% post-results correction due to news about KVS Manian, from Kotak Mahindra Bank, being considered for the MD & CEO position at FB. However, KMB's elevation of Mr. Manian as JMD, subject to RBI approval, possibly diminishes hopes for him as a candidate at FB. Any stock surge linked to this news is likely to recede, analysts said.

Stock Market LIVE Updates | Delta Corp to sell its entire stake in Caravella Entertainment for Rs62 crore

Sensex Today | Gold holds ground as focus turns to Fed minutes

Gold prices edged up on Tuesday despite a stronger dollar as investors awaited the minutes of the last U.S. Federal Reserve policy meeting for more clues on the timing of interest rate cuts.

Spot gold was up 0.2% at $2,021.00 per ounce as of 0815 GMT. Most of the U.S. markets were closed on Monday for the President's Day holiday.

U.S. gold futures rose 0.3% at $2,029.90 per ounce.

Sensex Today | BSE Midcap index down 0.4 percent dragged by Biocon, Federal Bank, New India Assurance Company

Stock Market LIVE Updates | HSBC View On Glenmark Pharma

-Upgrade to buy, target Rs 1,100 per share
-Q3 was a disrupted quarter on the back of restructuring of distribution model
-Company had a restructuring in distribution model for its India formulations business
-Recovery in India sales, with lower R&D spend bodes well for margin expansion
-Start of supplies from monroe plant bode well for margin expansion
-Glenmark life sciences deal closure is a near-term catalyst